Making a Comprehensive Lease Agreement
One of the best ways to avoid disputes between landlords and tenants is by creating a comprehensive and clear lease agreement which must include all the most important entries that will also prevent confusion between the involved parties.
Meanwhile, all the clauses in the lease contract should be in compliance with the law to avoid lawsuits.
A comprehensive rental agreement will state every condition and rule between landlords and tenants, thus allowing the involved parties to avoid confusion, disputes, and disagreements.
To make sure the agreement is comprehensive and complete; this should include the most basic clauses such as:
Tenants’ names. Property owners should include all the adults, who will rent a unit, in the lease contract. By doing this, all the occupiers will be liable for any damages that may happen to the leased property, breach of contract, and wrong use of the unit.
Term of the rent. A lease agreement should include the term of tenancy—the period in which tenants can use the leased property.
Meanwhile, there are two types of arrangement: rental agreement which is usually a month-to-month term; and lease which typically lasts for a year. The tenants’ choice should be based on how long they plan to stay and how much flexibility they want to have.
Limits on the use of property. It is important to specify the allowable number of occupants, how the property should be used, and its only allowable purposes.
Rent, deposits, and fees. The agreement should include the amount of rent and its due date, the grace period, and how it should be paid. It is also important to include the amount of the security deposit and the condition and period in which this can be returned to the tenant.
Repairs and maintenance. This will state the landlord’s obligation to make repairs and the limit of such duty, especially when a broken fixture is caused by the negligence of the tenant.
Illegal activities. To avoid property damages and trouble among other tenants, landlords usually include in the contract that certain activities such as drug dealing, excessive noise, and storing explosive chemicals are prohibited inside the leased property.
Other restrictions. Some landlords provide specific rules such as having pets and the use of communal facilities.
When creating a leased contract, landlords should make sure that all entries are in line with the federal and state law. For example, some states have specific laws such as the right of tenants to bring additional roommates; most jurisdictions also limit the amount of security deposit required to tenants.
Furthermore, landlords should also follow the state laws for ending a tenancy to avoid possible lawsuits.
- Franchise Opportunities
- Wholesale Business Opportunities
- Small Manufacturing Business
- Farming Business Ideas
- Unique Business Opportunities
- Shop Business Ideas
- Small Business Opportunities
- Startup Company Ideas
- Home Based Business Opportunity
- Rural Business Opportunities
- Tips for Buying and Selling
- Starting Rental Business
- Ideas for Small Business
- Free Business Ideas
- Internet Business Ideas
- Store Business Opportunities
- Entrepreneur Business Idea
- Retail Store Ideas
- Service Business Ideas
- Advice for Small Business
- Financing a Small Business
- Restaurant Business Opportunities
- Small Business Articles
- Business Marketing and Advertising
- Repair Business Opportunity
- Professional Career Opportunities
- Business Insurance Information
- Instructor Guides